The flag wouldn't be waving due to lack of air. The only reason it waved when the first placed it was due to the top bar bouncing that held the American flag in place, While this may be a true fact, the picture is fake.

Actually that's incorrect. It's very possible that this picture in particular is fake but the flag would move as long as something started moving it in the first place. Since there's no gravity in space there's not going to be any force moving against it to slow or stop it so it would move consistently until the end of time.